The Debt Management Office (DMO) has unveiled three Federal Government bonds worth a total of N800 billion for public subscription at N1,000 per unit.
In a statement issued on Tuesday, February 17, the agency said the offer includes a N400 billion bond carrying a 17.95 percent annual interest rate and maturing in June 2032. The instrument is a seven-year re-opening of an existing bond.
Also available is a N300 billion bond with a yield of 19.89 percent, due in May 2034, representing a 10-year re-opening. In addition, a N100 billion bond with a 19 percent coupon rate, set to mature in February 2034, is being offered as another 10-year re-opening.
The DMO said the auction is scheduled for February 23, with settlement expected on February 25, 2026.
According to the agency, the bonds are priced at N1,000 per unit, with a minimum subscription of N50,001,000 and additional investments in multiples of N1,000.
For the re-opened issues, where coupon rates have already been fixed, successful bidders will pay a price based on the yield-to-maturity that clears the auction volume, plus any accrued interest.
Interest payments will be made semi-annually, while the principal will be repaid in a lump sum at maturity.
The DMO noted that the bonds qualify as eligible securities for trustees under the Trustee Investment Act. They also meet the definition of government securities under the Company Income Tax Act (CITA) and the Personal Income Tax Act (PITA), making them tax-exempt for pension funds and certain other investors.
The bonds are listed on the Nigerian Exchange Limited and the FMDQ OTC Securities Exchange. The agency added that all Federal Government of Nigeria bonds qualify as liquid assets for banks’ liquidity ratio requirements.
The DMO emphasized that the instruments are backed by the full faith and credit of the Federal Government of Nigeria and secured against the nation’s general assets.
It also stated that it reserves the right to allocate the bonds at its discretion and advised interested investors to participate through authorised banks.
